§ 13-4-306 — Transactions prohibited prior to obtaining approval of final subdivision plat - False representations as to construction of roads - Remedies - Requirements for final plat approval

(a) (1) The owner or the agent of the owner of any land shall not: (A) Transfer or close the sale of the land by reference to, exhibition of, or by other use of a subdivision plat without first submitting a final subdivision plat to the municipal planning commission and receiving the commission's approval and before the final plat is recorded in the appropriate register's office; or (B) Falsely represent to a prospective purchaser of the land that roads or streets will be constructed by the municipality or other political subdivision. (2) The description by metes and bounds in the instrument of transfer or other document used in the transfer does not exempt the transaction from a violation of this subsection (a). The municipality, through the municipal attorney or other official designated by the chief legislative body, may pursue an injunction or other appropriate remedy for a violation of this subsection (a). (b) The owner or agent of the owner of any land may close the sale of or transfer any lot or lots shown on a plat only after that plat has been given final plat approval by the planning commission, and after having been granted this final plat approval, the final plat is recorded in the office of the county register. The planning commission may grant final plat approval where the infrastructure improvements such as roads, water, sewer, utilities, other infrastructures, and facilities are not completed and accepted by the appropriate entities. For the planning commission to grant final approval, the owner or agent of the owner of the land to be granted final approval shall post a bond, letter of credit, or other method of assurance in form, in amount, and with conditions and surety satisfactory to the planning commission. The bond, letter of credit, or other method of assurance shall provide for and secure to the public and the municipality the actual construction and installation of the infrastructure improvements within a period specified by the planning commission. (c) The remedies and penalties provided by this chapter are to be applied exclusively to the owner or agent of the owner. Title to any tract conveyed without compliance with this chapter is not affected by this chapter unless the sale or transfer has been enjoined by a court of competent jurisdiction before the conveyance is recorded in the office of the appropriate county register. While the title to the tract is not affected by this chapter, the tract remains otherwise subject to this chapter.

Legislative History

Amended by 2021 Tenn. Acts, ch. 39, Secs.s4, s5, s6 eff. 3/23/2021. Amended by 2015 Tenn. Acts, ch. 209, s 5, eff. 4/20/2015. Acts 1935, ch. 45, § 5; C. Supp. 1950, § 3407.14; T.C.A. (orig. ed.), § 13-606; Acts 1989, ch. 591, § 113.